Posted on July 7, 2016
By Turloch Mooney, JOC.com
India has said it is prioritising dozens of last-mile port-rail connectivity projects to speed up cargo evacuation and help address chronic landside congestion problems at its ports.
The ministry of shipping said the equivalent of more than USD3 billion would be spent on 22 port-rail connectivity projects to be implemented by the Indian Port Rail Corporation (IPRCL). IPRCL was set up last year with the specific remit to construct, operate, and maintain rail and road infrastructure for the transport of goods to and from the country’s ports.
The projects are part of the Sagarmala port-led development programme, which focuses on capacity expansion and modernisation of coastal ports. Three port-rail projects are already under way at the ports of Vishakhapatnam and Chennai, with 19 in the pipeline and a further 6 under consideration by IPRCL.
“These projects will enhance port connectivity to the hinterland and help in reducing logistics cost and time for cargo movement, making Indian trade more competitive,” the ministry said in a statement.
One of the highest profile projects is a heavy-haul rail line for the transport of thermal coal from mines in Odisha state to Paradip port. This will facilitate the distribution of coal by coastal shipping services to power plants in the south of the subcontinent.
A special-purpose vehicle of IPRCL has been established to develop the rail link, which will also serve the industrial clusters of Jharsuguda-Sambalpur, Angul-Talcher-Dhenkanal, and Kalinganagar Steel Hub, as well as the Paradip port industrial zone.
As well as improving landside connectivity, India is undertaking a number of technology-based projects to boost productivity and reduce congestion at its ports.
On 1 July, Jawaharlal Nehru Port Trust (JNPT), the country’s biggest container port, implemented a radio frequency identification (RFID)-based cargo container tracking service that allows exporters and importers to track goods in transit through the port to inland container depots, container freight stations, and to end-users.
Under the system, the first of its kind in the country, an RFID tag is affixed to each container and RFID readers at different locations track the location of the container and send the data to a database accessible to shippers and consignees.
The service is expected to reduce lead times for container movement, help alleviate congestion at the port, and ultimately lower transaction costs for shippers and consignees because of improved predictability and optimisation of cargo flows.
The service covers all four existing terminals at JNPT and will be extended to the new container terminal under construction by Singapore’s PSA International when it opens at the end of 2017.
JNPT recently introduced RFID-based gate automation at two of its four terminals, with the remaining two due to implement it shortly.
At the end of June the port of Cochin launched an RFID access control system on a digital platform to track and regulate the movement of vehicles, cargo, and people in the wharf area. The system replaces manual checking of vehicles and personnel and is expected to significantly reduce delays at the wharf gate.
India’s major ports handled a combined 107.52 million tonnes of cargo in April and May, representing growth of 6.3% over the same period last year. The growth was primarily due to a 523% surge in iron ore throughput. Throughput of petroleum and oil products expanded 3.5%, while container volumes expanded just 0.7% compared with the same period in 2015.
Among the 12 major ports, Murmugao, Paradip, Vishakhapatnam, Kandla, and Cochin booked the highest year-on-year volume growth during the two-month period.
Source: Fairplay
